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Energy Automation Systems Inc. (EASI), a Hendersonville, Tenn.-based manufacturer of energy-saving technologies for businesses, has started construction on a $1.5 million manufacturing facility in Gallatin, Tenn.

The 20,000-square-foot facility will manufacture approximately $30 million in EASI products annually, according to the company. EASI expects to complete the project in late December.

The facility is located on an eight-acre tract of land that EASI officials bought 10 years ago in anticipation of company growth. EASI has been leasing a manufacturing site in Gallatin.

"We will ultimately be able to add about 12 new employees to our present manufacturing staff," said Joe Merlo, EASI founder and chief executive officer. "Demand for our energy-reduction products is increasing, so we are already looking ahead at a second-phase expansion to the building now under construction."

Phase 2, which is scheduled for 2011-2012, should add another two-dozen employees when completed, according to the company.

"We plan to add an additional 20,000 square feet to manufacture our own custom sheet-metal enclosures and new LED lighting products," said Paul Bleiweis, EASI president. "The building is designed so that we can seamlessly add a total of 60,000 square feet of space to the footprint."

The company said it will manufacture three of its 14 products in the new facility: power factor correction capacitors, passive harmonics filters and lighting controls. Other EASI-manufactured products, currently produced in several locations, will be transported to Gallatin and from there shipped to EASI sales affiliates around the world, according to the company.

EASI noted that the site is adjacent to the Sumner County Regional Airport, which is undergoing expansion. The company added that the business-friendly government also played into the decision to locate in Gallatin.

"When we're finished, our new building will enable us to keep up with increasing customer demand by speeding our production, ability to carry more inventory and provide faster delivery to our customers and sales affiliates," Merlo said.